VND30 trillion low interest loans for city businesses by year-end

Deputy Chairwoman of Ho Chi Minh City People’s Committee Nguyen Thi Hong on August 8 proposed the State Bank of Vietnam’s HCMC branch to increase the credit amount to VND30 trillion (US$1,415 million) this year in the city’s program on connecting banks with businesses.

Commercial banks have so far filled their norm loaning 800 businesses with VND20 trillion at annual interest rate of 7-8 percent for short term and 11 percent for medium and long terms.

The State Bank should closely work with the Department of Industry and Trade, the HCMC Union of Business Associations (Huba), and district people’s committees to provide businesses with VND10 trillion from now until the end of 2014, bringing the total up to VND30 trillion. 

Loans should be concentrated on small & medium enterprises and priority fields such as support industry, hi-tech and high value-added sectors, Ms. Hong said.

The State Bank in HCMC will continue implementing the program in districts to timely meet capital demand of enterprises from now until the end of the year, said deputy director Nguyen Hoang Minh of the state bank in HCMC.

By staff writers – Translated by Hai Mien

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